Realtor as Seller

[Stanley E.]

Hi BP. I have a potentially profitable situation but wanted your opinions. My realtor has a property he wants to sell for $15K. He tells me it appraised at close to 42K. The rent is $525/mnth, but the tenant pays $575/mnth because of late fees. Of course I will ask him why he wants to sell. What other questions/documents do I ask for? At face value, this looks like it could have a CAP rate of .27%. It is a 2 BR/1BA w/bonus room and central air. Let me know your thoughts/suggestions. Thanks.